India’s Goods and Services Tax (GST) collections surged to ₹1.87 trillion in October 2024, marking a six-month peak and the second-highest monthly collection on record. This continued momentum, driven largely by increased consumer spending during the festive season, reflects an 8% growth year-over-year and keeps collections above the ₹1.7 trillion mark for the eighth consecutive month.
Breakdown of October 2024 GST Collections
The record-breaking collection includes:
- Central GST (CGST): ₹33,821 crore
- State GST (SGST): ₹41,864 crore
- Integrated GST (IGST): ₹99,111 crore (₹44,127 crore on imported goods)
- Cess: ₹12,550 crore (₹1,294 crore on imported goods)
After accounting for refunds of ₹19,306 crore, the net GST collection stood at approximately ₹1.68 trillion, underscoring strong domestic economic activity.
Key Growth Drivers
The robust GST collection figures have been attributed to higher consumer spending associated with festival-driven demand and the government’s sustained anti-evasion measures. This collection trend has demonstrated resilience in India’s retail and manufacturing sectors, with many states reporting growth rates above 10%. For example, Maharashtra, Karnataka, and Uttar Pradesh registered growth rates of 14%, 12%, and 10%, respectively.
Historical Context and Fiscal Impact
The average monthly GST collection for FY2024 now stands at approximately ₹1.66 trillion, representing an 11% increase from the previous fiscal year. This sustained high collection aids the central and state governments in achieving fiscal targets, supporting expenditure on infrastructure, welfare, and other key public projects.
Future Outlook
With festival consumption trends and holiday season sales extending into November, experts anticipate another strong GST collection for the upcoming month. This upward trend underscores India’s economic recovery and resilience, even amidst global economic headwinds.
